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Show Parowan may increase insurance PAROWAN An increase of $1 million in liability coverage has been suggested to Parowan City by Byran Turner of the Byran Turner Insurance Agancy, the city's insurance agent. He and Judd Turner, meeting with the City Council in its regular meeting Feb. 17, also suggested that the city's garage building be covered on a replacement cost basis. The reason this type of coverage has not been applied before, according to Turner's understanding, was that the building will not be replaced by a building of the same replacement value if it is destroyed. The representatives of the Turner Agency were meeting with the council to explain current coverages and to make a presentation to encourage the city to continue insuring with their agency. "Some protection is provided under the law as pertains to liability of a city," Turner indicated,- before suggesting the additional $1 million coverage. Parowan's present insurance policy, which carries an annual premium of $11,099, expires July 1. The Turners indicated that there may be some advantage to the city to cancel the present policy and write a new policy - which provides essentially the same coverage, except that each claim submitted by the city would be subject to a $500 deductible feature. The new policy would also cover hiring discrimination suits. The suggested new policy would cost the city approximately $5,000 less for the annual premium, but a $1,000 penalty would apply for cancelling the present policy, the Turners explained. City council members will hear presentations from other agencies before determining which direction to go, Mayor John C. Pendleton said. Present city coverage includes liability of $500,000 for bodily injury and $100,000 for property damage. Included in the liability are premises and operational liability, broad form property damage and personal injury. Personal injury coverage includes false arrest, errors and omissions and malpractice. Blanket coverage on buildings has a liability limit of $1,345,000 and includes damage from fire, vandalism and malicious mischief. Specifically excluded from this coverage, at the request of the city, are cemetery properties and buildings at the fairgrounds. Several years ago coverage on the turbines, generators, transformers, and other electrical apparatus at the Parowan and Paragonah hydroelectric plants was dropped. City officials at that time felt that the risk did not justify the premiums. The Council also authorized City Foreman Woodrow Decker to complete a project to trim, and in some cases remove, trees which are interferring with power lines. Decker indicated that the project should be completed within the next six weeks. Council members also authorized a study to determine whether or not to assess a fee for tree trimming at the request of a citizen. |